Council Shields Danville Businesses From Dublin Event Center Tax, Adopts Smart Freeway Tech

Danville's Town Council sent a clear message May 19: invest locally first. All five members rejected a regional proposal to tax Danville businesses for a convention center 10 miles away in Dublin, revealing instead that two hotel projects — one with its own event space — are quietly being explored for downtown. Earlier, the Council unanimously adopted a first-in-Northern-California smart ramp metering system for I-680 that promises to recalculate freeway flow every 20 seconds.

• Council unanimously opposes 0.5% business tax for proposed 100,000-sq-ft Dublin event center, directs staff to explore a Danville-focused business improvement district instead
• I-680 smart ramp metering MOU adopted 5-0, launching a three-year demonstration project that could cut freeway travel times 10–30%
• Two downtown hotel proposals disclosed by mayor, one including a 40,000-sq-ft event center — positioning Danville to grow its own hospitality economy
• $2.3M+ Arts District construction contract approved despite bids coming in well above estimates, reflecting tariff-driven cost volatility
• Last-minute Fish and Wildlife permit saves Diablo Road trail project from a year-long delay
• E-bike regulations split into two phases: parks ordinance in June, sidewalk ban deferred to fall for school family input

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Danville Says No to Dublin — and Yes to Its Own Downtown

All five council members turned away Visit Tri-Valley's pitch to fund a 100,000-square-foot multi-use event center near the Dublin BART station — a facility projected to draw 318,000 annual attendees and generate $100 million in visitor spending. The ask: a new Tourism Improvement District that would charge Danville hotels an additional $3 per room-night and local businesses 0.5% of gross revenue.

Why it matters: The proposal would have created a new, uncapped tax on every Danville business, with proceeds flowing to a facility in another city. The Council's resistance signals a pivot toward Danville-centric economic development at a moment when its downtown is showing signs of stress.

Where things stand: Staff member Jen Starnes presented the proposal, which also sought future JPA participation from Danville. Tracy Farhad, President/CEO of Visit Tri-Valley, argued that sports travelers routinely drive 30 minutes for good restaurants and shopping, and that the assessment rate and district boundaries were still negotiable.

But council members were unconvinced. Councilmember Renee Morgan questioned the premise that convention-goers in Dublin would travel to Danville, noting the imbalance in accommodations: "I've got 21 hotels to choose from in Livermore. I've got 13 in Pleasanton, I've got five in Dublin, and I've got lonely little one in Danville."

Vice Mayor Robert Storer was more blunt: "I really tried to find a way to connect some dots and I just couldn't connect the dots here. I just don't see the value to our downtown businesses at all. I mean literally at all."

Mayor Newell Arnerich then disclosed a key piece of new information: two groups are actively exploring hotel proposals for downtown Danville, one of which includes a 40,000-square-foot event center. He framed the Dublin proposal as the wrong investment at the wrong time, noting that Danville's highest-grossing restaurant in Contra Costa County is about to sell for a fraction of its value — evidence, he argued, that local businesses need support, not new taxes. "I do not think there's enough capacity. I do not see any kind of benefit to Danville. I see a terrible tax burden and I don't like the governing structure," he said.

Councilmember Mark Belotz agreed. Councilmember Karen Stepper expressed interest in a study session but acknowledged she needed more information. Councilmember Morgan wanted businesses consulted before any further steps.

What's next: The Council directed staff not to allow Visit Tri-Valley to approach Danville businesses yet, to engage the Danville Chamber of Commerce, and to explore whether a locally serving business improvement district — using that same 0.5% — might be a better vehicle for downtown investment. No formal vote was taken; direction was given by consensus.

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I-680 Gets a Brain: Council Adopts Smart Ramp Metering MOU

The Council unanimously adopted Resolution No. 40-2026, approving a memorandum of understanding for the I-680 Coordinated Adaptive Ramp Metering project — the first Northern California deployment of next-generation freeway management technology.

The basics: Traditional ramp meters operate on fixed schedules. CARM coordinates every on-ramp along the I-680 corridor simultaneously, using infrared traffic sensors (called "turtles") and STREAMS software to recalculate metering rates every 20 seconds based on real-time conditions.

Why it matters: Northbound I-680 ranks as the Bay Area's seventh-worst bottleneck. Caltrans data from similar Adaptive Ramp Metering deployments on US 101 and I-880 showed 10–30% travel time reductions.

Where things stand: Stephanie Hu, CCTA Director of Projects, explained the corridor-wide approach. Samuel Woldesmaat from Caltrans District 4 provided the performance data from prior deployments. Darren Henderson of GHD, the project consultant, walked through the system's architecture: "The system is able to adapt automatically in real time, recalculating these things every 20 seconds in order to respond when we start to see a problem occur. We don't wait until the ramp is already full."

Physical improvements include shoulder widening and ramp merging at Crow Canyon Road. The MOU is non-legally-binding and imposes no direct costs on the town. It includes safeguards to prevent queue spillback onto local streets including El Cerro Boulevard, Diablo Road, and Sycamore Valley Road.

Councilmember Stepper translated the technology for the audience, explaining that CARM adapts to real-time conditions rather than relying on a fixed clock schedule. Councilmember Belotz asked about upgradeability and was told existing ARM infrastructure can be retrofitted to CARM. Councilmember Morgan asked about emergency vehicle access and local street impacts.

Vice Mayor Storer praised six years of development through the Innovate 680 committee and noted that bus-on-shoulder testing is also advancing along the corridor.

Decisions: The motion, made by Councilmember Morgan and seconded by Councilmember Belotz, passed 5-0 (For: 5, Against: 0, Absent: 0). Two written correspondences from residents Brian Swanson and Kevin Burke expressing concerns about ramp metering were acknowledged for the record. Construction is underway, with ramp metering operations expected to begin in early 2029.

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Tariff Turbulence Hits Arts District Project

Councilmember Stepper pulled Resolution No. 38-2026 from the consent calendar after discovering that the low bid of $2.3 million — plus contingencies pushing the total to roughly $3.3 million — came in well above the town's estimate. She noted the bids were "all over the place."

Why it matters: The wide bid range reflects volatile construction material pricing driven by tariffs and supply chain disruptions — a trend that threatens to inflate costs across Danville's capital improvement program.

Mayor Arnerich explained that companies with pre-purchased inventory can offer more competitive prices, while smaller firms are receiving quotes good for only 30 days — creating unpredictable bid spreads.

Decisions: Despite the cost concerns, the Council approved the contract unanimously (For: 5, Against: 0, Absent: 0). The resolution awards a construction contract for the Arts District Maker Space and Town Green Pavilion (CIP B-628 and B-629).

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Diablo Road Permit Arrives Just in Time

Town Manager Tai Williams reported that the town received its California Department of Fish and Wildlife permit for the Diablo Road project on the last possible day, narrowly avoiding a year-long delay to the creek construction window.

"Late this afternoon we actually received our permit from the California Department of Fish and Wildlife. I had my finger on the nuclear button about to elevate the issue because literally if we hadn't received the permit today," Williams said, describing the near-miss.

He also announced that e-bike regulations will be split into two separate policy tracks. The parks e-bike ordinance is targeted for June, while the sidewalk ban will be deferred to fall to allow school district and family engagement. Staff will also identify corridors with narrow shoulders for potential exemptions.

Other highlights from the Town Manager's 18-page monthly report: budget and CIP study sessions are complete, with the FY 26-27 operating budget and capital improvement plan coming to the Council on June 3. The town's distracted driver video became its most-viewed social media content ever, hitting 225,000 views in its first week. A cluster of contentious land use items is expected in July and August, and staff is being intentional about sequencing them across meetings.

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E-Bike Bills Stall in Sacramento; Pension Reform Threat Flagged

Management Analyst Cat Bravo reported that two key e-bike safety bills died in Appropriations: AB 1557, which would have redefined Class 1 e-bikes and capped motor power at 750 watts, and AB 1942, which would have required DMV registration and license plates for Class 2 and Class 3 e-bikes.

Several other bills advanced: AB 1569, requiring e-bike safety training for grades 7–12, passed the Assembly 77-0. AB 1614, requiring seated riding on Class 1 bikeways, passed 64-0. AB 2346, addressing labeling, speedometers, and speed limits for riders under 16, and SB 1167, targeting false advertising of non-compliant devices as e-bikes, both cleared their Appropriations committees.

The Governor's May Revise proposes $246.6 billion in general fund expenditures, with $16.5 billion in additional revenues driven by higher personal income tax and capital gains.

Mayor Arnerich flagged a separate bill, AB 1383, which he said would roll back the 2013 PEPRA pension reform for police and fire. He warned this could significantly impact Danville, where nearly 40% of the budget goes to police services.

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Minor Items

• Consent calendar approved unanimously (items 6.1, 6.2, 6.3, 6.5): May 5 meeting minutes, Register of Demands, March 2026 Treasurer's Report, and Resolution No. 39-2026 authorizing speed limit postings on various Danville streets.
• Red Cross designates two Danville shelters. Matt Smith, Contra Costa County Disaster Shelter Lead for the American Red Cross, presented certificates designating the Community Center and Oak Park Center as official emergency shelters, filling a gap in southern Contra Costa County coverage. Red Cross turnaround time for setup is two to four hours. Mayor Arnerich recognized the late Michael Szymansky, a former council member and Red Cross volunteer who deployed to Hurricane Katrina.
• Jewish American Heritage Month proclaimed. Rabbi Dan Spinrad of Beth Chaim Congregation accepted the proclamation, speaking about the importance of public recognition amid rising antisemitism.
• Mental Health Awareness Month proclaimed. Sumita Bhandari of Discovery Counseling Center accepted the proclamation. Mayor Arnerich noted the center started with one counselor out of a van in the late 1960s and its Thrift Station now grosses over $1 million a year — all volunteer-staffed — subsidizing care for 40% of clients who cannot afford services.
• Garbage truck oil leak complaint. Resident Robert Rawlinson reported Republic Services trucks leaking fluids onto streets in front of 160 homes and said the company was unresponsive to multiple complaints. Mayor Arnerich said the new contract requires full truck replacement and that Councilmember Morgan and he, both serving on the JPA overseeing Republic Services, would follow up.
• FEMA storm appeal still pending. Under the Disaster Council, Emergency Services Manager Nate McCormack reported the town's FEMA appeal for 2022-23 winter storm damage to the Front Street project was found eligible but has not yet been approved. A care-and-shelter exercise is planned for Sept. 2 in partnership with the Red Cross, county animal control, the fire district, and San Ramon. McCormack also briefed council members on WPS and GETS emergency priority phone systems.
• Valley Link and Memorial Day. Councilmember Stepper reported on Valley Link rail authority funding. Vice Mayor Storer noted the upcoming Memorial Day remembrance and All Wars Memorial ribbon cutting.